Regulation 24 Repayment of excess

The CFD counterparty must determine, as soon as reasonably practicable after the conclusion of an operational cost period, whether the amounts received under regulation 23(1) in respect of that period and received by virtue of regulation 23(6) during that period are greater than the costs which it incurred in respect of the relevant period in relation to that operational cost period.

Where the CFD counterparty determines that those amounts are greater than those costs it must pay the difference to electricity suppliers as soon as reasonably practicable after making that determination.

Where the CFD counterparty must make a payment under paragraph (2), the amount which the CFD counterparty must pay to an electricity supplier in respect of an operational cost period is the amount given by—

$$\left(AR-CO\right)\times \left(\frac{SE}{ST}\right)$$

where—

• AR is the sum of—

  1. (i)

     any amounts received by the CFD counterparty under regulation 23(1) in respect of that period,

  2. (ii)

     any amounts received by the CFD counterparty by virtue of regulation 23(6) during that period,

  3. (iii)

     any amounts which were paid to the CFD counterparty during the relevant period for the purpose of compensating it for any costs incurred by it in respect of a breach of any duty or obligation owed to it (whether or not under these Regulations);

• CO is the costs the CFD counterparty determines it has incurred in respect of the relevant period;

• SE is the amount of electricity supplied by the supplier in that period;

• ST is the total amount of electricity supplied by all suppliers in that period.

For the purposes of paragraph (3) the amount of electricity supplied by a supplier in an operational cost period is the amount of electricity which the BSCCo determines, on the basis of Initial Volume Allocation Runs, as the amount of electricity that supplier supplied in that period.

In this regulation—